Credit card questions I can't find answers to

custard_cream_3

Last week, before I even thought I might be going bankrupt, I was phoned by MBNA offering me a 0% balance transfer, which I took and transferred a balance from an RBS Mastercard to and MBNA one. Now I've gone through everything with a fine-tooth comb, I've realised the RBS card is in my wife's name and I am merely a cardholder. This is a genuine mistake as we've had the card for over ten years and I'm the only one that's ever used it.

Will the OR do me for this or do you think he'll see it as just one of those things? Also, should my wife take me off her card now (with its zero balance) or does it make no difference?

Also, we have an M&S Mastercard with a very small balance, and it's in my name, but she is an additonal card holder. Is she joint and severally liable?

Finally, we have a joint mortgage and overdraft with HSBC, and I have a personal loan with them in my name only. I assume they can't make my wife liable for the amount of the loan when I go BR can they?

dane-katie

I would try and transfer the balance back to your wifes card as OR might get very funny about this.

I would remove you as a extra card holder on your wifes credit account just incase someone will advise me if im wrong.

Your wife wouldnt be liable for the M and S card since it was only done in your name on the application im guessing?.

Your wife is not liable for any debt in your name unless joint so dont worry.

custard_cream_3

Thanks. My worry is if I transferred the amount back, it may look like a preferential debtor, or whatever the phrase is?

It was a genuine mistake and I did turn MBNA's offers of cash transfers to my current account down, so perhaps I can pleased ignorance?!

maxmycardagain

pre-BR it is a good idea to seperate all joint doings/accounts if one partner is not going BR, cards/holders/etc, no link/no threat

chelseabun_3

Yes, as Max says, try to separate all your finances before going BR. Take your name off joint accounts - or close them completely and open separate ones. You'll need a basic account for yourself - Barclays and Co-op are good for BRs.

As others have said, your wife is not liable for the debt if she is an additional cardholder. Any card account in your name is your debt alone! Don't know what to say about the mistaken payment - you could try contacting your OR office before BR and ask what they'd do! CBx

custard_cream_3

How do you reckon I should handle the joint overdraft then? If my wife could open an account in her name and get a matching limit, it would be fine, but how many banks would give a new customer a £5k limit? Perhaps they do?

If I went BR with the overdraft in place, what do you think would happen?

chelseabun_3

Unfortunately your wife would become liable for the whole overdraft amount, which I think they'd want back straight away. I don't know how it would be viewed if your wife took her name off the joint account instead, so the debt would be yours and rolled up into the BR. I'm not sure whether that's allowed or not - I'm sure someone else will advise! CBx

custard_cream_3

Ooooooo - I hadn't thought of that. But that's probably even harder to explain than the balance transfer malarky!

Can you contact the OR before you go BR?!

chelseabun_3

Apparently so!! CCCS told me to phone or email my local ORs office to ask what they would do in a situation we were finding difficult to get an answer to! I have to admit - I haven't yet! But they do have an email address for enquiries, so it might be worth it for you. CBx

Rylynn

I think we all make mistakes and having had this card for years, and only you using it the OR may look kindly on the error, but like others have said get the joint accounts closed, it will make life easier for you.

Also good advice to call your local ORs office and ask what they will do in the situation you have given.

custard_cream_3

Thanks. I'll see what they say.